SUMMARY MINUTES OF SPECIAL MEETING

Annual Strategic Planning Workshop

Friday, February 19 and Saturday, February 20, 2016

Council Chambers - Shoreline City Hall

February 19 - 8:30 a.m. 17500 Midvale Avenue North

PRESENT: Mayor Roberts, Deputy Mayor Winstead, Councilmembers McGlashan, Scully, Hall, McConnell, and Salomon

ABSENT: None

STAFF: Debbie Tarry, City Manager; John Norris, Assistant City Manager; Randy Witt, Public Works Director; Margaret King, City Attorney; Paula Itaoka, Human Resources Director; Rachael Markle, Planning and Community Development Director; Sara Lane, Administrative Services Director; Shawn Ledford, Shoreline Police Chief; Dan Eernissee, Economic Development Program Manager; Mary Reidy, Recreation Superintendent; and Carolyn Wurdeman, City Council Executive Assistant

GUESTS: Allegra Calder, Principal, BERK Consulting (Workshop Facilitator)

At 8:31 a.m. the Special Meeting was called to order. Mayor Roberts provided a welcome to the Council and staff.

Mayor Roberts turned the Workshop over to Facilitator Allegra Calder, who provided an overview of the Workshop and a few ground rules.

Council then discussed the 2015 City accomplishments. Assistant City Manager John Norris provided a brief overview of how staff put together the accomplishment list, and Council reflected on which accomplishments had the most impact on the community. Highlights of the accomplishment list that were noted by Council included the Saltwater Park Bridge Replacement, the 185^th Station Subarea rezone, expansion of food truck offerings, completion of the Ronald Wastewater District Committee of Elected Officials (CEO) process, the Nurturing Trust workshops, the 20^th Anniversary celebration that was held throughout 2015, and the overall Council decorum during the course of the year. The Council also reflected on the changing nature of the community in regards to some of the achieved accomplishments in 2015.

Council discussed the current (2015-2017) City Council Goals and Workplan, and also looked at the staff proposed Goals and Action Steps for 2016-2018. Council began this discussion with Goal #1, which evolved into a discussion of development in the community. Also discussed was the annual growth of assessed property valuation in Shoreline. Council asked a few questions about Action Steps #5 and #6 of Council Goal #1, and Councilmember Scully stated that he would like to see mention of small and medium sized business and development firm investment noted in an Action Step, likely in Action Step #2 of Goal #1. Mayor Roberts also mentioned that he would like to see mention of continued promotion of Shoreline’s burgeoning film or media production industry in Action Step #6 of Goal #1. In reviewing Council Goal #2, Council was supportive of staff’s proposed 2016-2018 Action Steps. Councilmembers Scully and Salomon however requested that stormwater management be added to the priority environmental strategies in Action Step #6 of Goal #2. Council did not have any proposed changes to staff’s recommended Action Steps in Council Goal #3. There was a discussion of staff workload and partnerships with other agencies under this goal, which is to prepare for the two Shoreline light rail stations. Similarly, there were no changes to the staff proposed Action Steps for Council Goal #5.

Following the initial Goal discussion, Council discussed Goal #1, Action Step #3, which is to implement the 10 Year Financial Sustainability Plan. Administrative Services Director Sara Lane provided an overview of the Action Step and walked the Council and staff through a PowerPoint presentation of the discussion questions noted in the Council’s memo associated with this Workshop topic. The initial discussion revolved around the Transportation Benefit District and whether the vehicle license fee (VLF) that the Council can implement should be increased. Councilmembers Scully and Salomon both stated that if the Council is going to increase the VLF, the increase should be for the full statutorily allowed additional $20, as opposed to an amount less than that. Councilmember Hall agreed with this statement. The Council provided general consensus that they are interested in bringing back a discussion and potential adoption of a $20 increase in the City’s VLF in mid-November as part of the 2017 budget process.

Council also discussed what the $20 VLF increase would likely fund, and discussed using $6 of the $20 to address target #5 in the 10 Year Financial Sustainability Plan, which would replace the funding transfer from General Fund to the Roads Capital Fund with this dedicated source. Council also discussed using the increased VLF funding to backfill the potential business exemption from Transportation Impact Fees that the Council has discussed and will continue discuss in February and March, and for sidewalk maintenance . Council discussed that use of the VLF can be further discussed as part of the budget process.

As part of this discussion the Council also discussed longer term funding for sidewalk construction, and some Councilmembers stated that they were interested in exploring a property tax measure to bond for a major sidewalk construction effort. This type of measure wouldn’t be explored for a couple of years, but the Council seemed interested in exploring this concept in the future as part of the Transportation Master Plan update.

Council then held a discussion on the potential for the institution of a Business and Occupation (B&O) tax. Staff provided Council the B&O tax work plan, which identified how staff will be exploring this 10 Year Financial Sustainability Plan target. Council provided direction to staff to engage the businesses community on the potential for the imposition of this tax.

Council broke for lunch, and then continued the discussion of the 10 Year Financial Sustainability Plan with a discussion of the Property Tax Levy Lid Lift renewal. Ms. Lane walked through the four alternatives for levy renewal, which included no renewal of the levy lid lift, renewal with just an annual escalator, renewal with an annual escalator and a reset of the levy rate to $1.48, and renewal of the annual escalator and a reset of the levy rate to the maximum rate of $1.60. Council discussed these alternatives and also discussed whether they should poll the community for a levy reset rate. It was stated to Council that there is more accuracy in the polling data if just one reset rate is provided to the community as part of the polling process. Council provided general consensus to staff that they are interested in staff polling the community and bringing back for Council discussion a levy reset of $1.48 per $1,000 of assessed property valuation in addition to an annual escalator in the rate.

Following the Levy discussion, Council reviewed the newly proposed language for the 2016-2018 Council Goal #4 and the Action Steps supporting this goal. Council did not have any changes from staff’s suggested Goal and Action Step language.

At 2:00 pm, the Council ended the Workshop for the day to participate in a Service Activity at Food Lifeline in Shoreline from 3:00 to 5:00 pm. This was followed by a Council dinner at 6:00 pm.

Council Chambers - Shoreline City Hall

February 20 – 9:00 a.m. 17500 Midvale Avenue North

PRESENT: Mayor Roberts, Deputy Mayor Winstead, Councilmembers McGlashan, Scully, Hall, McConnell, and Salomon

ABSENT: None

STAFF: Debbie Tarry, City Manager; and John Norris, Assistant City Manager

GUESTS: Allegra Calder, Principal, BERK Consulting (Workshop Facilitator)

Council began the second day of the Strategic Planning Workshop at 9:00 am. This began with a review of the proposed Council Goal Action Step edits that were discussed on Friday. Council confirmed these proposed changes, which will be brought back to Council at a regular Council meeting for final review and adoption.

Council then discussed the policy issues noted in the Policy Issues Memo associated with this discussion, beginning with Station Area development regulations. This discussion began with a discussion of minimum lot sizes in the MUR 70 zone. Councilmember Hall stated, and most Councilmembers agreed, that the development regulations in this zone should encourage development of heights and uses allowed in the MUR-70 regulations. The Council provided general consensus that they are interested in the Planning Commission reviewing minimum lot sizes in the MUR 70 zone when the development regulations are brought to them as part of the 145^th Station Area Planning process.

The Council also discussed setback regulations along the 145^th Street corridor to allow for additional right-of-way development in the future. Although Council did not prescribe a certain length of setback, there was general consensus to have the Planning Commission look at setbacks along this corridor. There was also a discussion of regulating the setback from the centerline of the roadway, as opposed to from the current northern border of right-of-way.

Council briefly discussed sidewalk construction, and confirmed the funding strategy for sidewalk maintenance, as discussed as part of the VLF discussion, and the potential for sidewalk construction using a voted property tax measure. Council also stated that they are interested in looking at Low Impact Development (LID) standards as part of sidewalk planning and funding.

Council then discussed the Shoreline-Lake Forest Park Senior Center. This discussion included both a discussion of a future Shoreline community center, with the Senior Center co-located at the center, and Senior Center operation models. There was general consensus that if a new City community center/aquatic facility is constructed in the future, the City should explore co-locating the Senior Center at the same facility, even if it is operated by an external agency. Council also expressed interest in staff looking at property acquisition along the 145^th corridor and in the Station Areas, specifically the 185^th Street Station Area for park acquisition and to site a community center/aquatic facility.

Council discussed homelessness issues, and the Council is interested in staff continuing to tell the City’s story about what the City has done to address homelessness in Shoreline. Staff posed the question to Council whether the Council is interested in creating a homeless program for the community, which could entail the construction of temporary housing for the homeless or direct services to homeless individuals. There were differing thoughts about this by Councilmembers, and no general consensus was achieved about whether the City should more fully engage in this issue programmatically. Staff stated and Council confirmed that the City will review the City’s Code to determine if the Code creates barriers for individuals experiencing homelessness.

Finally, the Council discussed external workforce regulations, including paid sick leave, a minimum wage increase, and paid parental leave regulations. There were disparate thoughts on this issue, including what should be explored first. Councilmembers Scully and Hall agreed that if these issues are brought forth to the business community for discussion and input, they should be brought forth together, rather than piecemeal. There was general consensus on Council that whatever regulations are ultimately explored, the City should engage with the business community to let them know that the City is exploring these regulations and to gain their input.

There was also a discussion of the potential statewide initiative that would institute paid sick leave and a minimum wage increase across Washington. Councilmembers stated that the initiative has strong financial backing and is currently in the signature gathering phase to get on the November 2016 ballot. There was general consensus among Councilmembers that they felt it was likely this initiative would obtain enough signatures to make it onto the fall ballot. A discussion ensued about whether the City should lead this initiative, and explore paid sick leave and minimum wage regulations locally regardless of the initiative, or whether the City should wait to see if this ballot measure makes it on the fall ballot, and if so, is adopted by the citizens of Washington State, which would achieve the same end as a Shoreline-only regulation. While there was not general Council consensus about this issue, it was generally agreed by Council that the forthcoming discussion on these external workforce regulations at a regular Council meeting would focus on the particulars of the statewide initiative so that Council could ultimately determine if they want to explore local regulations prior to the fall ballot measure or not. Council also stated that they would like to understand the potential impact on the City’s organization if the Council were to adopt paid parental leave. Staff stated that this would be an estimate, as the cost would be dependent on a number of factors, but that staff could bring this back to Council.

At the close of the City Policy Issues discussion, the Mayor thanked the Council and staff for a good Workshop. Ms. Calder also thanked the Council for being such good participants over the two days.

The meeting was adjourned at 12:30 pm.